Edward Morello

I would struggle to think of a policy that would be worse for microbusinesses. Meanwhile, transport and parking infrastructure across rural West Dorset is stretched to breaking point, something made worse by the 42% surge in population during peak season. If visitors cannot reach our businesses or cannot park, it is local traders that will lose out. As my hon. Friend just mentioned, in April we saw a rise in national insurance contributions and an increase in business rates—that was the other thing I was struggling to think of that might be worse for small businesses. Since then, more than 220 pubs have shut down. I heard directly from The George in West Bay in my constituency, which has seen its business rates increase from £8,000 to £27,000 a year. That is basically its entire operating profit margin. UKHospitality reports that a third of businesses in the sector are now operating at a loss. Most have had to raise prices, cut hours, lay off staff or cancel investment. As I am sure the Liberal Democrat spokesperson, my hon. Friend the Member for Richmond Park (Sarah Olney), will outline, we would replace business rates with a commercial landlord levy. We would keep the 75% business rate relief for hospitality and freeze the small business multiplier until the new system is in place. We are also calling for a dedicated Minister of State for tourism and hospitality to give those sectors the leadership and support that they desperately need. In places such as West Dorset, hospitality is the economy. For every small business that closes, we lose part of our community. We need action. We need to stand up for hospitality businesses, because when they thrive, all of West Dorset thrives.